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In many places, there is talk of tokens being listed on exchanges AFTER being sold in a successful ICO.
How was the token sold during the ICO? Buyers transferred ETH / BTC to some addresses and hoped to get tokens in return? Maybe buy a little to try it and increase?
It seems like ERC20 is just a protocol for ETH smart contracts that enables token transfer. That doesn't seem to require any guarantee that the buyer gets the token.
So in practice for successful ICOs, how does the token purchase process work without an exchange? Have smart contracts been developed that can guarantee that if someone sends ETH to an address, they are guaranteed to receive this new token at an address they control?
And finally, how do they gain control of the direction in the first place? If the sender assigns them an address, then the sender does not have the power to access it later? If it's an ETH token, maybe they can use their own private key or something?
Basically I'm looking for a full technical explanation of what happened in the successful ICOs at the level of the actual sale and issuance of the new token on some account.
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